Samsung launched its Galaxy 3S smartphone in Europe and supplies in many areas ran out the first day. Some expects say that the handset has a set of features which match those of the Apple (NASDAQ: AAPL) iPhone and the Samsung product works on many ultra-fast 4G networks. The iPhone 4S does not.
For some reason, the heads of Samsung do not believe that the smartphone’s features will be attractive enough customers on their own. Samsung has launched a service called Music Hub which seems to be a poor competitor to iTunes. The service allows the download of music to five devices and a PC. The inventory of songs will range into the millions.
But, there are already music downloads for smartphones which include Pandora’s (NYSE: P) app product. Pandora already has over 50 million customers who use its services worldwide. Why Samsung won’t join forces with an existing company is probably a poor decision. The move puts it in a position in which it has several competitors, only one of which is Apple.
Douglas A. McIntyre